A LETTER TO STAFF FROM RICK ANTHES With the completion of this year's performance reviews and salary adjustment cycle, I wanted to thank you for your cooperation in implementing the new system and to briefly summarize the results. First, although no system can be expected to be perfect and satisfy everyone, the new performance review system appears to have worked well. I credit the training sessions held for all supervisors by Human Resources for much of the success in making the transition as smooth as possible. Credit is also due to the supervisors who implemented the new process. Second, all organizational units in UCAR followed the guidelines established by the management of UCAR, NCAR, and the UCAR Office of Programs. In particular, the UCAR-wide cap on salary increases of 3.3% and the 2.5% cap on NCAR and UCAR employees supported by indirect costs (overhead) were adhered to. (Exceptions were made for certain small units based on carefully justified factors such as anomalously low compa-ratios and internal equity issues.) Also, there were no significant differences among groups of employees (for example, between exempt and nonexempt, male and female, or white and nonwhite). I know that some employees are disappointed at the lower salary increases this year compared to recent years. However, as discussed at the several recent town meetings, I believe that constraining salary and benefit costs at UCAR is an important way of dealing with a budget that is increasing only slowly at best. The tradeoff is literally between size of program and staff and size of salary and benefit increases. We will continue to closely monitor compensation trends in organizations similar to UCAR to maintain fair and competitive salary and benefits at a cost we can afford. Thanks again for your cooperation and understanding. Suggestions for improving administration of the process are welcome and should be sent to Human Resources in care of Mark Weaver.